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PORT HUENEME, CA and PARIS, FRANCE and BOSTON, MA--(Jan 20, 2016) - Stellar Biotechnologies, Inc. ("Stellar") (NASDAQ: SBOT) (TSX VENTURE: KLH) and Neovacs S.A. ("Neovacs") (ALTERNEXT
PARIS: ALNEV) today announced they have entered into a term sheet to
form a joint venture for the manufacture of conjugated therapeutic
vaccines (the "Joint Venture") using Stellar's proprietary Keyhole
Limpet Hemocyanin (KLH). The purpose of the proposed Joint Venture is to
produce Neovacs' Kinoid product candidates, including IFNa-Kinoid, as
well as potentially manufacture other KLH-based immunotherapies on
behalf of third party customers.

The parties intend to negotiate the terms of one or more
definitive agreements related to the organization, ownership allocation,
and supply and services for the Joint Venture. The parties anticipate
that the Joint Venture will be owned initially 70% by Neovacs, with
Stellar holding the remaining 30% interest. There can be no assurance
that the Joint Venture will be consummated or, if consummated, will
achieve the expected results.

Stellar is a leader in the sustainable manufacture of KLH, a
carrier protein used for its immune-stimulating properties in the
production of active immunotherapies (also known as conjugated
therapeutic vaccines). KLH is a key component of Neovacs' Kinoid
technology.

Neovacs is a leader in the development of active
immunotherapies for autoimmune and inflammatory diseases. Neovacs'
patented Kinoid technology combines a targeted cytokine attached to
Stellar KLH™ as the immune-stimulating carrier molecule. Neovacs' lead
product candidate IFNa-Kinoid for the treatment of systemic lupus
erythematosus (lupus) is in Phase IIb clinical trials in Europe, Latin
America and Asia. A Phase IIa trial in the United States is expected to
begin in 2016. There can be no assurance that the clinical trials will
ultimately lead to commercialization of the products.

"We look forward to working with Stellar Biotechnologies to
form this cooperative venture, as they are the leading supplier of KLH
protein based on sustainable, scalable aquaculture techniques," said
Miguel Sieler, Chief Executive Officer of Neovacs. "Since KLH is a key
component of IFNa-Kinoid, this venture is intended to support Neovacs as
we work toward potential market launch, as well as bring added value in
the field of KLH-Kinoid conjugate vaccines."

Frank Oakes, President, Chief Executive Officer, and Chairman
of Stellar added, "We believe the proposed joint venture could be a
very positive development for both Stellar and Neovacs. It would enable
us to work together to ensure the successful development of IFNa-Kinoid
at scale but, importantly, we anticipate building manufacturing
infrastructure and expertise that could be offered to other developers
of conjugate vaccines looking to transition their product candidates
from clinical to commercial scale. For Stellar, this is an example of
leveraging our KLH core business to expand our potential clinical and
commercial opportunities."

About NeovacsCreated in 1993, Neovacs S.A. (ALTERNEXT
PARIS: ALNEV) is today a leading biotechnology company focused on an
active immunotherapy technology platform (Kinoids) with applications in
autoimmune and/or inflammatory diseases. On the basis of the company's
proprietary technology for inducing a polyclonal immune response
(covered by five patent families that potentially run until 2032),
Neovacs is focusing its clinical development efforts on IFNα-Kinoid, an
immunotherapy being developed for the indication of lupus and
dermatomyositis. Neovacs is also conducting preclinical development
works on other therapeutic vaccines in the fields of auto-immune
diseases, oncology and allergies. The goal of the Kinoid approach is to
enable patients to have access to safe treatments with efficacy that is
sustained in these life-long diseases www.neovacs.fr.

About Stellar Biotechnologies, Inc.Stellar Biotechnologies, Inc. (NASDAQ: SBOT) (TSX VENTURE: KLH)
is the leader in sustainable manufacture of Keyhole Limpet Hemocyanin
(KLH), an important immune-stimulating protein used in wide-ranging
therapeutic and diagnostic markets. KLH is both an active pharmaceutical
ingredient (API) in many new immunotherapies (targeting cancer, immune
disorders, Alzheimer's and inflammatory diseases) as well as a finished
product for measuring immune status. Stellar Biotechnologies is unique
in its proprietary methods, facilities, and KLH technology. We are
committed to meeting the growing demand for commercial-scale supplies of
GMP grade KLH, ensuring environmentally sound KLH production, and
developing KLH-based active immunotherapies.

Forward Looking StatementsThis press release may contain forward-looking
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1933, as amended, and Section 21E of the Securities Exchange Act of
1934, as amended. Forward-looking statements may be identified by the
use of words such as "anticipate," "believe," "plan," "estimate,"
"expect," "intend," "may," "will," "would," "could," "should," "might,"
"potential," or "continue" and variations or similar expressions.
Readers should not unduly rely on these forward-looking statements,
which are not a guarantee of future performance. There can be no
assurance that forward-looking statements will prove to be accurate, as
all such forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause actual results or future
events to differ materially from the forward-looking statements. Such
risks include, but may not be limited to: general economic and business
conditions; technology changes; competition; changes in strategy or
development plans; governmental regulations and the ability or failure
to comply with governmental regulations; the timing of the Company's or
its partners' anticipated results, including in connection with clinical
trials; and other factors referenced in the Company's filings with
securities regulators. For a discussion of further risks and
uncertainties related to the Company's business, please refer to the
Company's public company reports filed with the B.C. Securities
Commission and the U.S. Securities and Exchange Commission. All
forward-looking statements are made as of the date hereof and are
subject to change. Except as required by law, the Company assumes no
obligation to update such statements. This press release does not
constitute an offer or solicitation of an offer for sale of any
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TSX Venture Exchange nor its Regulation Services Provider (as that term
is defined in the policies of the TSX Venture Exchange) accepts
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